Housing Forecast Says: If You Plan to Buy, Buy Now

Posted on July 23, 2014 by SummerHill Homes

Las Palmas - The Groves

The San Jose Mercury News recently ran an article on how the San Francisco Bay Area housing costs are impacting the new home market.

Land costs have gone up at least 40-50 percent in the past two or three years, Smiley said, ranging now from $3 to $4 million an acre in San Jose, to $5 million on the Peninsula and $3 million for East Bay sites near Silicon Valley’s booming job market.

These land costs probably will translate into greater densities and more expensive housing when the new developments come to market.

SummerHill Homes maintains a commitment to building a quality product that will stand the test of time, and we build for a variety of buyer profiles. (See our list of Bay Area homes for sale for info.) Our goal is to always offer a fair market price for the product built, and to spare buyers the drama of bidding wars.

In the same San Jose Mercury News article, we meet Octavious Mendoza, a mobile app developer who is looking at homes in the $600,000 price range. Homes he describes as “old, and not very nice.” Mendoza also said, “new homes are preferable” because “you can’t go wrong buying a house in the Bay Area. The technology industry is not going away.”

We agree. If you are going to buy new, and we think you should, then now is a great time to do it. Because all builders will be asking more when they release their next round of new home communities.